All Forum Posts by: Dennis Cosgrave

It all depends on the location and class of housing. For example, installing granite counter tops in a Class C property will likely not any value. Installing hardwood floors in a Class A or B property will. I agree with a previous poster; have a real estate agent look at it and determine which improvements will add the most value. The key here is to add more value than what it costs. 

One factor that is being overlooked is that millions of homeowners are in mortgage forbearance. Why sell your home while you don't have to make any mortgage payments. Tight inventory is pushing prices higher, so when forbearance ends and they are forced to sell, they likely walk away with even more equity. It is a win-win situation. 

I always did everything myself, except for the electrical wiring. I don't like working with things I can't see.

It all depends on the level of leakage. I would strongly recommend doing a Phase 2 environmental assessment. The results of that assessment will tell you what the level of contamination is. If it is extensive, the cost to clean it up can be significant. 

We live in very uncertain times. Even trying to guess the market over the next 18 months is difficult if not impossible. There are so many variables in play right now. I would certainly be looking at migration patterns. Are more people moving into the area than are moving out? What are the major industries in the area and are they vulnerable? From where I am sitting, CA has its own set of unique issues. I would look at those issues carefully before moving forward. 

Unless you are pursuing a professional designation like doctor, lawyer, dentist, or accountant, a college degree is not worth what it used to be. The quality of education has declined precipitously in the past few decades and many college campuses have morphed into indoctrination centres for the left. Tuition fees are astronomical and definitely not worth going into debt for. The whole point of a college education used to be to develop critical thinking skills but that is now frowned upon. Tow the official line or be cancelled. Why would you pay money for that kind of abuse?

Before you make a decision, I would take a serious look at the net migration numbers. If there are more people moving out than are moving in, that would suggest that it is not a good long term investment. If you are looking to buy and flip, the price appreciation numbers over the past 2 years should also be researched.

All good advice so far. I would add one more thing. Should you choose to move forward, make sure you get EVERYTHING in writing! Have an attorney draft the agreement. Make sure you have contingency clauses if one of your partners are not fulfilling their end of the deal, or if one partner loses patience and wants out of the deal. All the remedies should be negotiated beforehand and all partners sign. In the event that the deal goes sour, at least you won't have expensive litigation costs to deal with.

We all know that city and state tax revenues are under duress as a result of the lockdowns and subsequent business closures. There is no guarantee that the municipal or state government will continue to fund these kind of programs, especially when the money runs out. 

There is so much uncertainty in the market at the present time. One of my biggest concerns is what will happen when mortgage forbearance expires and the eviction and foreclosure freeze is lifted. Some investors might be planning for the worst and choosing to get out now.